After four consecutive losses, the Pakistan rupee finally came to a halt versus the US dollar on Thursday, as the currency stayed fairly flat.
According to the State Bank of Pakistan (SBP), the rupee closed at 294.92, up Re0.01.
On Wednesday, the rupee fell to its lowest level versus the US dollar since May 11 this year, falling 1.16% to 294.93 in the interbank market.
Dr Shamshad Akhtar, former governor of the State Bank of Pakistan (SBP), has been appointed interim finance minister.
The news comes as the process of naming key cabinet members under caretaker Prime Minister Anwaar-ul-Haq continues amid widespread speculation.
Globally, the US dollar pushed the yen further into intervention territory on Thursday, as a healthy US economy highlighted the need for higher-for-longer interest rates, while the Bank of Japan battled to explain its policy stance.
Although most money markets expect the Federal Reserve to keep interest rates on hold in September, with some betting that the central bank’s tightening cycle has already ended, a recent run of resilient US economic data has reinforced the view that interest rates will remain restrictive for some time.
On Wednesday, data showed that single-family homebuilding in the United States increased in July, and permits for future construction increased, while a second report revealed that production at US industries surprisingly improved last month.
The US dollar index increased to a two-month high of 103.59.
Oil prices, a major indicator of currency parity, were turbulent on Thursday after falling in the previous three sessions, with the undertone bleak on fears that slowing Chinese growth and likely future US interest rate hikes will dampen fuel demand in the world’s two largest economies.
